Bitcoin Forum

At 13:06 on November 27, 2019, 342,000 ETH (approximately 58 billion won) were transferred from the Ethereum Hot Wallet to an unknown wallet.
UpBit says it will cover losses worth $51.3 million with corporate funds.

Unknown wallet address: 0xa09871AEadF4994Ca12f5c0b6056BBd1d343c029

https://upbit.com/service_center/notice?id=1085
https://i.imgur.com/UEJAgPn.jpg

UPD1: It is also rumored to have additionally stolen BTT worth more than $ 3.5 million and TRX worth more than $ 17 million. Perhaps this will be announced later. After the withdrawal of ETH to unknown wallets from the exchange, BTT with TRX moved to unknown wallets.

UPD2: Funds in the amount of 342,000 ETH were stolen from the Upbit wallet, funds began to be received again, in different amounts, it seems from the exchange team. A logical question arises. Why replenish an already compromised wallet? Hacked wallet balance already - 4.726 ETH

At least Upbit claims they will cover the loss from their own assets and the client's funds will remain unharmed.

Korean exchanges are good for arbitraging and Upbit are serious until now.

This is bad day for crypto market because upbit exchange is one of the largest exchanges in Korea and this may be the main reason why the market continues to collapse today. At present, the best solution is to withdraw all assets to another exchange and wait for the news. I don't have any assets here but this is really a huge loss for the crypto market.

I wonder, why Korean exchanges are often hacked? And this incident triggers the fall of all crypto prices on the market. I hope the exchange can solve this problem immediately and not harming their users, because the 342k ETH that was stolen was worth 48.6 million dollars and this is a bad incident at the end of the year for the crypto industry.

According do the report I read, only ethereum was withdrew to the unknown wallet and other assets moved to a cold wallet. I don't where you got other datas from. But the good news is the part where upbit will cover all the looses. That's a welcome development though 

Even though they will cover customer funds, but i think some customers will lose trust in the upbit exchanger for fear of the case of funds being hacked again. And i always keep my assets in my personal wallet and not in wallet exchangers.
Hopefully this problem is quickly resolved

It is scary that an upbit exchange has corrupted this problem and caused hackers to steal it, but they also provided the right solution for compensation for this reason. Why can't they improve the security of floors and investors more secure?

This is why you should not invest or hold your money on trading websites and online wallets

Even they will cover the lost fund  this will also give bad feedback to that exchange that it was not secured to hacking, and this can also happen again.
Also i want to know if there is a way to freeze hacking fund in eth Or only tagging the address ?

Yes always remember that storing your funds in exchange is like you give your trust to a company and you will not know how secured your funds in them, but in case of lost only the exchange can be decide if they want to cover the lost or leave like what happen  topia. Users of upbit is still lucky thay the owner decided to cover it, but thats not small amount so it takes time to give it back to all users.

In terms of seriousness i think upbit exchange is on par with binance so this is not a bad news for those who have funds on the exchange, they will be able to refund users but i am sure that centralized exchanges days will be over soon

I would say that funds can only be held on those trading floors that are able to compensate you for damage. But who will give you such guarantees?
After all, if not 50 million but 500 were stolen, the big question would be whether the exchange would be able to recover losses of this kind.
In addition, it is not yet clear whether this was actually hacked or manipulated by the exchange.

market sentiment will negative again although they recover customers fund. Investors will afraid if this eth dumped in market and make market crashing again. They only could tagging address , there is no way to freeze this wallet so far. And maybe by this case blockchain developers will developt this feature in order to prevent same case happen again in future.

I see so expect that the price of ETH will go lower for this week for that negative news.
Its better to add this feature before releasing  ETH 2.0 so it will be more secure from hackers attempt, that all of thier effort will be wasted if they do that next time.

Yea right, here we go again, can someone just offload all volumes on centralized exchanges to dex exchanges? not possible right? lol well i hope by next year people will start getting used to decentralized exchanges, they are lucky its upbit, would have been a lose to traders if this happened on a weak exchange

This is a serious threat to cryptocurrency ecosystem as a whole, it’s a bad day. The good part is the compensation plan as announced by upbit but investors’ confidence wouldn’t be the same again on the platform. They need tighter security infrastructure to stay in the game.

The Korean exchanges are all regulated and I think if they didn't compensate their customers the regulator would investigate.

The real question is "how did they let this happen"? What kind of breach of security was this, and is there anything other exchanges can learn from this?

Yes only eth stolen, I don't know how hackers can hack wallets and exchanges they are protected but some people can easily hack these exchanges

of course this affects the market even though the hacked ethereum is still stored in its address. it is not easy to implement security like that, we can see the bank if there are cases of fraud or things that are detrimental to other customers the bank cannot immediately block the offender's card, I think ethereum developers will also think of that

This is really awful, I've never used Upbit but this can happen to any exchange...

An explanation on how it happened would have been better. Still, its a good thing that they are ready to cover it up with funds but the stolen ETH will be used for market manipulation and looks like the latest BTC drop is because of this hack.

   When exchange get hacked crypto-market reacts, that is temporary, after some time things will get back in normal. Explanation
from exchange how hack happened comes after some time, they will have investigation before they make any announcements.
This is just one more exchange hacked, I don't hold my coins on exchange.

Heard about it today, damn. Did not hold money on that exchange, but it happens almost every single day. Exchanges, projects, personal wallets, everything is getting hacked every single day without any solution to solve this.

they dont talk about their weakness
i dont think btc drop because of this hack, but as i know its best time to buy btc or eth , i think people who buy crypto right know will earn good profit from it

That's because they are not focusing on the security of the exchange. Most exchange often got hacked due to lack of security see Binance before right? It is not korean exchange but often got hacked too. Sometimes I think that these exchanges only make it like they got hacked but the truth is they are covering up some loss fund.

Really bad day for upbit exchange because they are lose 342, 000 ethereum coins due to hackers. Why upbit not update the security system for exchange, because I know that in may 2019 some hackers attempt to hack upbit exchange but this they are successful done and stolen worth of 48.7 million eth coins.

Good news that upbit going to cover the lose. But I want to know can upbit recover the funds from hackers?

I think there is something about eth. Recently eth announces that their upgrade will come to town, maybe someone knows that there is a possible reversal on its price and hacking an exchange for eth will probably one of the best way to hord it. The exchange will probably not disclose the reason but Im sure its connected on eth development. Too bad Upbit a big exchange could be part of this hording.

its very urgent to do, too many case happen every years. This not good for cryptocurrency ecosystem if this case regularly happen every few months. We know this is really important to developted ,but decentralized concept that make it impossible to do. Only core development that maybe could , but its still not sure. Learn from previous case , exchanges must create new security system in their cabinet ..

they are suspending their withdrawal and deposit for two weeks, it seems like they have a feeling it was an insider.
this incident reminds us again that holding your asset on the exchange is unwise, always keep it inside your wallet.
if you have assets on the exchange right now, withdraw it to prevent you from getting hacked.

Bad moment we are in, after all this dumps we have faced then we will see one of the top exchanges get hacked. This isnt good for the whole market for sure,we can still expect a few more dumps on ETH specifically. But good to hear that upbit wants to cover for that stollen funds.

This upbit grrrrrrr >:( , it sounds like a drama deliberately made to reduce the price of bitcoin to the lowest point so that they (don't know who is behind it) can buy as much bitcoin as possible at the lowest price, and to prepare for halving bitcoin. (first dump and then pump)

was very surprised when I heard this bad news. Will they really be able to cover losses due to hackers? of course this will also have bad impact on exchange

Yes this is sad news for Upbit users throughout it, with a large number of hacked ETHs (342,000 Ether) and hackers currently still not selling ETH and prices are still quite stable at the start there is indeed a decline maybe people panic so sell in a hurry .
Upbit Exchange has a large responsibility for the incidents of this problem so that user funds remain intact.

When I saw the news about UPBIT hack, I was highly astonished since that exchange is cool, I thought probably there will be very advanced security protocols to overcome hacks. Well, hackers keep coming up with more sophisticated techniques to bypass existing security protocols. I hope this won't cause more downtrend for the market, since bad news quickly spread. 

more sustainable adverse effects occur on the crypto market as a whole. because investor confidence can decline with events like this. now we must learn from this incident because we must be able to choose the best exchange to store our crypto assets or we can store it in a personal wallet to be more secure.
Can or not upbit overcome the disadvantages of this problem, of course, they must be responsible if there are losses relating to their community. if they can be dealt with quickly they can regain market confidence.

I have read this news everywhere, but what influences the price of ETH and BTC, I hope that hackers throw ETH far cheaper now of course I will take it, but if it is not thrown away I suspect it is not the work of hackers but the people in it who make the situation market to be more bloody, I am not interested in following their airdrop and also not interested in putting my money there, I still doubt the Korean site since Bithumb was hacked

This is the more reason why keeping funds for a long time on centralised exchanges is a very big risk. Who would have thought UPBIT of all exchanges will be hacked in this manner. When I saw the announcement, I wasn't so surprised because it can happen to any exchange. Let's forget about the tight security claims, there are some hackers always ahead of the game. But why are all these bad news coming up now, ( IDAX scam, UPBIT hack) in this dwindling market 🤔 ?

The fact is that, according to KZ Binance, he and other exchange market players are going to monitor and prevent deposits of funds stolen from Apbit, this was said in the official twitter of Binance.
This is already pretty good news that will help protect the market to some extent from the drain of stolen funds. However, hackers are not stupid and can sell stolen goods outside the exchanges.

This is really bad when the market is pushed down he added there was this incident.

I do not understand when the exchange is really safe for all parties concerned and there are no events like this anymore?

Indirectly this will reduce interest for new crypto actors when they hear news like this.

Maybe the internal of upbit was doing a fault that was opening the vulnerability for the upbit hackers to take all of the ethereum. but from what i can see the hacker is still sending more and more small amounts of ethereum from the various wallet. I hope all of exchange sites can create a cooperation to track the hackers.

This is really may affect the price to continues decline although eth is already not progressive in the market. Sad to hear there is another exchange was hacked, and it is not really safe to store huge of amount of crypto. Indeed this will added a less of interest in crypto that security is not that good but let's be more positive since upbit exchange will cover the lost eth.

even if they track these hackers i think they could not find those hackers, its reminds me mt.gox
mt.gox promise their memebers that return member's money but they are still change deadline time

Huge amount of money, can hackers easily steal such a large amount of money from a leading exchange? I think this may be because Upbit employees themselves took advantage of the platform's loopholes to steal the money.

Its a bad news again! I hope it will not cause another dump? I was wondering why korean base exchange was always suffer from these unfortunate hacking incidents. I think its a high time to upgrade all of the current security protocols to avoid another incident like this. Why not using cold wallets instead of Hot wallet? Cold wallet is much safer so its a good choice to store most of exchange cryptocurrency holdings.  

It’s for this kind of occurrences that it’s always advisable not to leave your funds on exchange. With these hacks being perpetrated and no remedy seem to be on sight though I think some exchanges has more sophisticated security measures than others. Upbit is one of the major exchangers and as such this event might send wrong signals to some investors/traders.

The South Korean cyber criminal unit is very strict in investigations, if indeed their employees are involved, it will definitely be found. the number of eth hacked is very significant, but maybe the hacker can't break it now because everything can be tracked on etherscan. I remember registering on this exchange when the Klay event appeared a few months ago.

These big amounts of crypto hackings are becoming common every year. And every time I hear news like this, I contemplate if crypto currencies can really survive long term and becomes mainstream. You cannot hear banks getting robbed and lost the same kind of amounts. Credit cards and other online fiat payment platforms can also get hacked but it can be tracked where the money goes. This news is disappointing.  

At the moment the price is not yet dumped but do not know tomorrow or a week later whether the hacker will sell all the assets that they have broken.
I am worried about storing assets in exchange because that is not something like this, Upbit and Bithumb become many targets to be hacked whether their security is less secure or what?

I think the price is no longer affected by this kind of news. If it were a bigger and more effective stock market, we could have expected a price decrease, but anyone who was afraid of such issues left the market a long time ago.

Some questions about these consistent hacks has to be answered. If funds were transferred from a cold wallet, how was a cold wallet storage system compromised ? Cold wallets has an additional level of security which on exchange wallet doesn't have. When Binance was hacked it was funds on exchange that got taken not funds off chain or am I missing the full gist here?

This is the Bad News for Upbit.
342k ETH is huge amount.
I hope this is not give more negative effect to cryptocurrency and i hope this not give big drop price in ETH and other cryptocurrency.

Yeah, it is, it's been quite some time that we have not read about exchange hacking incident, and I just thought something like this will be avoided, security has been the utmost concern of every traders and exchange, it should be addressed once and for all, I read on one my Facebook friend's feeds that it could be an inside job, I hope it's not, bad way to end the year for the Korean traders and exchange.

Just saw the news. It is really unfortunate for Upbit to experienced this. And it's a very big amount of money that was stolen. It's a freaking 342,000 ether (ETH). After all Upbit is one of a good exchange out there. Here we go again, another exchange got hacked, Another exchange to add to the hacked list. I'm afraid if the hacker sell all his stolen assets at once it will dump the price of ethereum. At least now we're good with the price, but who knows.

I have yet to see any negative effect of this FUD news on ETH price. I don't know why Upbit store such a huge amount of money in hot wallet, then got hacked. Recently, there has been a continuous FUD on crypto, it seems that by the end of this year, the market has not been able to break out of the bear market.

Usually only 2 condition will come, closed services or maybe if they can make sure their user's funds is safe, maybe will be have big reputation like Binance gain after they get hacked, although Binance reputation about big exchange wouldn't replaced. Beside that very big ETH amount, if like what OP said about rumour other coins stolen too, that is very will make it worse.

Looks like an inside job, in my opinion. The cold storage of exchanges are not accessible by the online software AFAIK, how the hackers hijacked offline wallet with the online tools? I am sure Upbit management is not going to leave the deceived investors alone, they will pay the lost funds of the investors. Is there any update regarding the affected user data?

It is not just the Korean exchanges. Those based in East Asia (including Japan, China and Hong Kong) seems to be very vulnerable to hacking. The recent hacks involved exchanges from this region, including Bitrue (Singapore), Binance (China), Bithumb (South Korea), Coinmama and Bithumb. There are rumors that hackers employed by the North Korean regime are involved... but there is no concrete proof for this.

Honestly, the number of hacked exchanges is increasing by the day, and i expect all exchanges to have tighten up security following all the previous hacks that has taken place, and some times,  most of this hacks are questionable, i don't know how an exchange will let themselves to be so vulnerable to hackers knowing fully well that security should be at the top their list, bad news like this often affect the market, i hope this won't have any major impact on the already fragile market.

This really makes investors/traders more scary as Upbit exchange is one of the good exchange too, first, Binance hacked, then now Upbit, it's really a large sum of money, good for those hackers, they do have a lot of money instantly, they are really attacking great exchange as they know it will be worth if for them to hack them, very vigilant for hackers, they are now instant millionaires, how I wish they can sleep at night very well.

So the hacker are still doing their job to bypass the security of big exchanges. At first, it was binance and now Upbit.

This kind of happenings are kinda bad to crypto society especially to the investors as they don't know when their money will be stolen because even the big exchanges with high level of securities have been bypass by the hackers. It will be good if there will be counters that can be put against them aside from tight security.

Mind to link about this matter? I tried to search up their announcement news but i havent able to read that replenish amounts on the said hacked hot wallet.
It really sounds dumb on funding again a hacked wallet.I would like to clarify about this news. hope you would reply on where you do read up such information.

We dont know if this one is an inside job or a real hack yet any exchange can announce that theyve been recently hacked due to blah blah blah. Another bad news in cryptospace.

security systems are sometimes still can be hacked if there are bugs in it, and what happens to Upbit including system errors are not pure from the people in it. most importantly they can be responsible, maybe they will lose trust for a while if they can build trust again they will be even better.

The more the hacks happen in the crypto sphere, the more investors are afraid of investing in the crypto ecosystem. Regarding the replenish of hacked ETH wallet, maybe the hackers send back the stolen ETH to the same address for whatever reason or some traders just funded the hacked account or fat finger. Who knows unless the Upbit team answers all questions on live AMA.

It's still not clear about the nature of hack. Exchanges have been exploited and hacked using different vulnerabilities and they are patching it everytime a loophole appears.
I hope more and more exchange would learn from it and work together to create a hack free environment on exchanges. And I also hope that this hack won't have much effect on the users.

So far I could say that 342k is not an amount they could recover that quickly, upbit is a decent place but 50 million dollars is a lot of money, I am sure they do make a ton of money everyday but not 50 million dollars.

I have no way of calculating right now (someone probably already did a whole volume times trading fee calculation for their revenue) but I feel like maybe they will just say that they will recover it but basically let everyone withdraw as they can from the money they already have and hope that people withdraw less than what they have and try to sustain from the profits for a while until they are back out of red and into profit once again. As long as people don't rush and withdraw all together, they may literally just let it be and still not have problems.

That's right, and this is perhaps the most interesting.
After all, the funds began to arrive recklessly, to a hacked wallet, which makes no sense if it was compromised.

However, there is a possibility that the hacking occurred through the administrative panels, which means that hackers gain full or partial control over the system.
Then the question arose of why such a quantity was stolen and not more.

I was surprised, the exact exchange was in Korea, hacks often occur. there may be something special or weakness so hackers aim at the Korean crypto market, really bad news for the crypto market. if the amount is sold in an instant this will greatly affect the price of ethereum. for investors or holders don't panic. the hacker will not sell immediately, need to think twice, because the address can be traced. and for Upbit exchange users, please don't panic, the exchange has promised to return the assets you have.

58 billion won is about $50,000,000 .that is huge. Centralized exchange or  platform is a deviation of the bitcoin ideal, so we can't blame this on crypto world. We have solid standards everyone is advised to follow. If you don't follow them, you are not really part of us.
The hacks will drastically reduce if we all abide by the "rules".

when i first read about the Hack i was truly surprised because my korean friend has a lot of funds with upBit. but then again i read the news and saw that they where going use corporate funds to help cover for loss and i was relieved that my friwend wasnt going to loose his funds. Cryptocurrency exchanges are constantly faced with cases of hacks and this says a lot about the security they kept assuring users. truly sad that upBit that i felt was a decent exchange is undergoing such crisis.

hacking will indeed continue to exist because a system is not completely safe. this is really bad news for exchange users and also other crypto users especially eth users. as you said, and the possibility of panic sell can occur

I think North Korean Hackers are responsible for this as there have been previous rumors of hacking here and these hackers from north korea base on coindesk.

And if it is inside job it should be investigated by Upbit exchange now because it is a huge amount of money, And it could be the downfall of their exchange. Currently 340k ethereum has no movement in the said wallet. Hopefully the upbit will recover this, so that the upbit can be restored thier reputation .

That shows that their exchange site are not secure as some people think or someone from the team is the game player but i hope the authority intervene in this situation.


Don't mix up things buddy the crypto market is already experiencing dump in price before the hacking new broke out.

They have already said their investors funds are not affected and it will them 2weeks before they are can start working.

Another unfortunate event from crypto exchanger, they must conduct a thorough investigation on how this kind of exchanges penetrated easily by hackers it must be secured enough because its a big exchange the possibility of an inside job must also investigated good thing that the stolen eth is not yet moved from the unknown wallet they must warned other crypto exchangers for possible dump in coming days and blocked any transaction from the wallet like what binance did.  

OMG, I can't imagine a new pullback on the crypto charts after the bad news series. The chain of negative news strictly affect the bear market, I don't think the recovery attempts by Upbit will be the reason for price recovery.  The security of crypto assets has to be at the high level but the exchange didn't use the cold storage, it looks like.

I believe that this was caused only to dump more the market because whales could no longer push the price down, so this news perfectly fits to their plans. Dump market and buy low before halving.

This is one very bad news, but my question is why all this often happens to the Korean market, is their security very vulnerable to interference?
No wonder I have all deposits and withdrawals suspended today but they will also promise to compensate for all these losses.

then with this news whether this will have an impact on market price movements?

It seems that he only has the proof of the suspicion though no official announcement yet considering that such a thing would take a lot of consideration before announced by the exchanges that got hacked, quite depressing to hear such enormous amount of cryptos got stolen so easily. I wonder how all these exchange could get their crypto stolen easily despite having invested into the security. I know that no system is safe but atleast they can make it harder to stole the cryptos maybe by investing more into the security because it wont take that much compared to the aftermath caused by a weak security.

did you read OP post ?
here is ANN link:
https://upbit.com/service_center/notice?id=1085

they said that 342,000 ETH moved from their Hot Wallet and dont know who do that, yes they have weak security

Yes, I heard that upbit will compensate, I think it should.

But it does not rule out if hacking like this will happen again and the exchange is reluctant to compensate, as in the previous case not a few exchanges compensate for hacking on the platform.

this is indeed very bad news. The thought that there was 340k ETH stolen, made me think that the price of ethereum would decrease. but, since the news was spread, ethereum prices have not dropped. but, based on the news that I read in the cointelegraph, the stolen assets will be covered by the company's assets. Source (https://cointelegraph.com/news/breaking-crypto-exchange-upbit-confirms-theft-of-342-000-ether-50m)

Really glad to hear the company willing to reimburse people with their own asset rather than just letting it be. I think the dump will not come anytime soon because the coin couldnt that easily cashed out you know every exchange nowadays always require KYC and I think these hackers will have a hard time dealing with exchange and probably the address is being watched by the interpol if upbit want to report it, 340K ETH is really huge man.

i think many customers still using after this hacked because upbit will replace the hacked fund with corporate funds, with this there is not customer harm.

Upbit is one of the top Korean exchanges and it doesn't surprise me at all that they would replenish the hacked funds, if we were talking about exchanges like Shitbtc, it would have triggered a massive panic attack and might even lead to the closure of the exchange, Binance has done it in the past and it's commendable that Upbit too wants to do the same thing, challenges like this would only make them stronger although it's an unfortunate event.

What matters is effort being made to recover from these losses. I think anything online can be hacked and crypto exchanges are big targets for hackers. If they have confidence in insuring loss of funds will be recovered then I think investors should be satisfied and the Market should bounce back stronger

if they are responsible then they will not lose a lot of trust from users, there may be some people who fear that happens again. but the Upbit exchange has made this mistake and is responsible professionally. hope every market is able to have a good security system so that hacking does not happen again

Quite surprising considering this exchange is quite popular in South Korea and other Asian countries, but because upbit will do the refund, I think it doesn't matter it's just that this might have a slight negative effect on trust of their peers and also users on this exchange, I hope this market does not will be attacked further.

Yes that's very disturbing information. Upbit exchange has been hacked. Losing 34,000 ETH, this number is too large. The company is making large losses and can say that we are very risky when we are sure they can cover the losses.

I agree with @kaneki007 that the upbit users might lost their trust with the exchange due to the recent hack news and even if they cover the fund loss it will take some time from now so what if one of the users who lost its funds badly needed the money right now, do you think there is no harm? The other sad part about this news is that upbit has to face a huge fund loss that may lead them to close their exchange.

UpBit exchange is facing a lot of unsafe risks. so we need to be very careful. A large amount of money is being transferred into an unknown wallet for unknown reasons but the important thing is whether this project can survive or not.

I think these hacks are an insider job or from a big hacking group, not an ordinary guy or two can hack such big exchanges. Irony is that these hacks are on rise rather then going down. Dont know whether Upbit is strong enough to cover these loses asap to maintain trust of there clients which is very important in continuing business.

It's okay to anticipate you can provide information that does not save or use UpBit exchange. but judging from the problems in all exchanges, we certainly do not avoid the risk of hacking like UpBit. all that remains is for the exchange to take responsibility or not to provide protection by returning its customers. as long as he wants to be responsible is something that we should appreciate and don't need to fear, though it might take time to cover up everything. but if he is not responsible this will be the problem.

What is more important is that the exchange user can recover his/her fund. I dont want the target of criticism to be Korea,exchanges like Binance, poloniex etc from different countries had hack at some time and they still have users till date. I learnt the Eth transfer is being monitored and we hope it could be locked up at a point in transaction. Some thought consider the hack to inside hack and they are giving enough resource to recover it.

By etherscan website I saw same information. We should hold our money for long term in the exchange. Although Binance exchange refund the money after hacked exchange. But upbit lose their trust from users even they do the same as Binance exchange. But I liked this exchange and used it.

This hack of an issue is becoming a trend now, sometimes I want to  believe that there are more to the hack than what we are made to believe. My advice is to make sure you secure your fund and also use 2fa for your crypto exchanges . Also we should use trusted exchanges to trade our coins.

With the market just recovering from a sharp fall, this news would act as a resistance to the correction. There are repeated hacks on the centralized exchanges but yet we are not being able to devise a hack proof system. Though currently most of the exchanges covers the loss from their own profit not affecting the normal users, still such incident would have a wrong impact on investors.

And this is EXACTLY why you guys should STOP using centralized exchanges, and move on to DECENTRALIZED exchanges.

These exchange hacks will happen again and again, as long as people is too stupid to hold their coins on exchanges.

My favorite DEX on the market right now is Blocknet, which also does oracles like Chainlink, just way cheaper and more decentralized, making it an awesome long term hold, as once people realizes their true potential, it should sky rocket.  ;D

Bitfinex was hacked too, they still operate. Exchanges like Mt.Gox, cryptsy, cryptopia on the other hand just collapsed after the hack and let the lawyers take care of the rest which is not really a good thing because it take years... If the hack was too big, even the company assets wouldn't be enough to save the people's balances.

If UpBit is going to pay $48.6m from their own pockets, that's probably the best news ever for those who had money on that exchange.

In general, such a case clearly indicates that cryptocurrency is still too vulnerable. We cannot use cryptocurrency and do without exchanges, and we don’t want to lose significant amounts there. Now the exchange administration claims that the losses will be compensated, however, then they will look for any errors and the slightest violations from the one who lost such a significant amount in ethereum. And I'm not sure they won’t find it.
The hope is that everything related to cryptocurrency and its use is still developing and that in the future ways will be found to ensure complete security for exchange customers.

This is what they all have to do. If they were hacked, they should take full responsibility of it, they should handle it just like Binance when a trouble came to them. Sure it's a big money but it's all their customers fund and they should return it no matter what the situation is. But hey, I've checked the wallet too and it's now containing the original amount.

Funds returned and coming in from 'Upbit Hacker 1'.

bitcoin and altcoin prices began to fall when news of the upbit exchange was hacked.
Doesn't anyone think all of this is just speculation made to influence market prices and be used for certain interests?
This has also happened in the biggest exchange binance today.
Although around 340k ETH was withdrawn from upbit to an unknown wallet, the upbit will continue to replace it so that no user is harmed.

This is not good, for the image of cryptocurrency of course. An Ethereum was stolen by hacker with the unknown address, every time there is a case like this the image also of all the platform exchange are getting affected by it too, but the good thing I saw from UPBIT, they are willing to take full responsibility about what happened, meaning the volume of this exchange was not a joke, it is extremely huge in the market.

This is getting out of hand and it is one of those things that always portray crypto as scam entity. For how long are we going to continue with crypto exchange hack. Exchanges need to do more to protect their platform and the name of the industry. How can we be sure that many of this hack cases are not done by insiders

And then the entire cryptocurrency market, including ethereum pumps? WTF.

This is exactly why I tend to stay away from altcoin markets, I don't see why more than $50 million in ETH about to be dumped onto the market is in anyway bullish.

Glad I dumped by ETH back at $280.

I really respect this Upbit in handling their wallets that are hacked by someone. They did not panic but promised to take care of the funds of the people who had funds in the Upbit.
Moreover, the nominal that is taken by the hacker is very large, worth 340k ETH is very fantastic once nominal. Hopefully, the Upbit party can be patient on this issue.

thats a disaster!!
every year few exchanges being hacked :(
industry leaders are working on it, and will block any funds that will come to Binance or other big exchanges
but there is a big black market and i think that it'll be sold anyway
there is a mixer for ethereum funds so if they do that, you can not track the coins
(or maybe the mixer is not ready yet but i saw something about it on twitter)

Not all of ethereum mixer can be trusted. I don't even believe mixer can deliver your ethereum if you will be mixing thousand of ethereum today. There is not place to send that amounts to the exchange site consider the exchange site will ask you to do a high tier of verification process. To sold that in the black market is not so easy. There was a lot of scammers these days.
it looks like if that was coming from the insider of the upbit itself who has been stealing that ethereum and sent it to the unknown wallet.
Upbit is not giving a clear answer about what makes that exchange site is getting stolen by scammer. What has already mentioned by upbit is about the detail about the amount that already stolen.

That amount is not a joke anymore. I think SEC will probably be alarm on cases of hack. I hope Upbit can still managed to carry out their promise to refund all affected users. That's why Ive noticed that the market cap drop again so badly. I'm starting to lose hope that it can still be on a good position before the year 2019 end.

I wonder if they know how did this happen yet? I mean these are such an insane sum and the early days it would have caused insane dumps, today you would have to be really smart criminal to even unload this in anywhere. My guess is that people who steal this kind of sums now are bound to get caught in the future.


I think they have just some automation left in places.

Really sad, reason why we really need to be extremely careful regarding security, security should be the watch word of every Exchange despite what before liquidity. This is really disheartening and I do feel for investors who are involved into this big issue and I do hope upbit gets it sorted out and also look for how to secure their Exchange more.

That's a common thing to happen, many exchanges are hacked. But Upbit is very serious in this case to secure members ' assets.

Very sad with Upbit exchange hacked 342k ETH, so far not problem with Upbit exchange and I like this market very much because have give profit by airdrop project and I hope this exchange market will back normal again and take secure for their exchange become more safety again and give safety for their member.

But they failed to do so and now people are losing money because of this not unless they'll shoulder the hacked amount. Many Korean Crypto Exchanges are failed to protect the users, and we might lose the trust of the public because of that. Its still good that ETH as a whole didn't move that much, maybe some irregularities are still on crypto exchanges and not just on ETH but in the whole cryptocurrency, so guys be aware to protect your wallet and always have a hard wallet or a wallet that you can control.

First of all, none of the money from the Mt Gox robbery have been recovered. The liquidators had around BTC200,000 in the beginning and this came from the Mt Gox wallets that were not hacked. Then the liquidators proceeded to sell some of this amount using various cryptocurrency exchanges. Now they are left with some amount of cryptocurrency (mostly BTC) and some fiat cash that came from the sale of these assets. Till now, none of this amount has been refunded to the victims, as the legal proceedings are taking a lot of time. You can blame it on the red tape and bureaucracy.

And there is more bad news for the victims. The submission deadline for claims have been extended for another six months, and the new date is March 31, 2020 (as per the statement by Nobuaki Kobayashi, who is the Rehabilitation Trustee for Mt Gox). Now submission of claims is the first step towards receiving any compensation and it has been going on for six years. You can imagine how much time it is going to take for the compensation to be distributed among the victims.

this is a classic story, and seems to be an annual routine when crypto prices will start to rise, then a storyline like this is created, theft of assets in large markets, halving, platform changes, swaps etc. And of course this will have an impact on the ETH price turnaround especially. Sooner or later there will be a price decline, dump in each market.
According to news from Upbit I quoted their statement "UPbit suspends deposit and withdraw cryptocurrency and it will take" at least two weeks "to continue deposit and withdrawal services. We pay close attention to what will happen in the 2 weeks and what effect it will have on ETH at each exchanger, because the number of hacked is quite large.

I think the potential for hacking occurs in every exchange, they are always attacked and must improve performance, even in the best exchange ever experienced it. what is needed is to act after it happens and increase its security again so that it can be trusted by consumers. and it's true we have to be careful of our wallet

Investors here are starting to be more afraid because if they can not withdraw money at Upbit exchange, this will certainly be very bad news for this market. I hope that they will focus more on security issues and prevent further attacks in the near future. In my opinion, this is a huge loss for the crypto market but Upbit will soon grow again and don't worry too much.

This is why I don't really trust exchange with my funds. Exchanges are more targeted by criminals and hackers than own wallet. I always withdraw my funds whenever I'm not trading.

As the major exchange site and that's a big shame for upbit to get the problem with its security to consider it has multi-millions reserved funds that already got from the profit by running its exchange site.
Upbit doesn't mention anything about what vulnerability has already discovered by scammer and use it to steal the funds from the hotwallet. Remember about there was a lot of possibility for scenarios that can happen behind the hacked case of upbit. As long as the exchange site can maintain its security and there will be no an internal problem and that case will not happen. We can see so many exchange sites never get any hacked case like kucoin.

I am very suspicious, in my opinion this is a deliberate issue. I'm sure all market exchanges have a professional team and have anticipated hacking but why can this happen again. Well, the good news is the upbit give the compensate/return for the balance stolen by hackers.

Yep, it's better to keep crypto in your own wallet.

Many people are respect with what Upbit's attitude will recovery the lost funds, to be honest I don't really believe in all the hacking drama that happens to exchange, surely the exchange development team is not a fool, that's why don't ever entrust our cryptos stored in the exchange with large amounts .

That's the problem, traders and investors don't have any clarity regarding to this incident. Even they do public information regarding to this hack
but we are not sure if this really being done by hackers because of their poor security or an inside job coming from the team itself and they are just
doing this to runaway without any blames.

Another bad news again in the crypto market, I wonder how the hacker hacked ETH? sometimes I'm thinking this is inside job, knows how to unlock it easily. Upbit exchange should maximize their security.

This is bad news that makes the price of bitcoin and ETH fall back. Large exchanges of upbit class can be hacked by hackers. Upbit is a global exchange based in Korea.

is it possible that the security of the upbit is weak so it can be broken into?

In my opinion, almost all exchangers have security problems because exchangers as large as Binance have also had an event like this. The difference is that large exchangers guarantee their customers' funds and compensate for losses

It amazes me that there are still opportunities for hacking exchanges. It may seem to us that it’s simply not possible to come up with better security. It turns out that security problems exist now.

ok, the hacker has get what they want. and what now ?
did they can cashed that ETH ?
since their action has been tracked 24/7 .
--
btw , this year,is really worst year for crypto exchange industry.
started with cryptopia hacked on january ,continue dragonex, bithumb, binance, bitrue , bitpoint, and now upbit wich the biggest lost from that incident.

money is not the only the thing that they wanted to get but i think they also want the info or the kyc of users and as well as thier login credentials  .

thats easy . they can always use mixer's and boom they cant be traced now  .

not just this year but on the past years there were also bad incidents happen on crypto . i think the biggest was binance because we know how popular binance was compare to to other exchanges

That's my points, they are like hiding what actually happened and finally just using the classic reason that is being hacked.

With company funds that will be used to recovery the lost funds whether their service and also their security systems will have no effect?

Time to port to non-custodian wallet. I recommend atomicwallet if you need one. Download from https://atomicwallet.io
Also, do your own research to confirm how secure the wallet is. I use atomic wallet for swapping and to store virtually all of my cryptos.

the wallet address has been marked but I think they can sell it through a decentralized DEX exchange, because their transactions may not be seen or use a newly released market, some don't believe that upbit is really hacked

Seems somedays traders would avoid use centralized exchanges for trading their assets. There is a raised question, some exchange getting hacked when they have to pay tax. Not sure if exchange themselves making drama but traders losing their hopes and also exchange losing their trust. But it's good thing that Upbit will recover fund and traders will not effected. This year is exchange hacked year, so many hack happened. Exchanges should build more strong security to save users assets.

i don't think the price of ethereum will down after this attack because of upbit loss around 342k ETH which is around 0.31% from total ETH
which is not enough for the hacker to make the price of ethereum down

This was my suspicion as well.
How many times did such centralized exchanges got hacked and then exited because they no longer have the means to run their business or just wanted to run with all the user's funds?
We saw this happen in Cryptopia and many other exchanges. There's no telling if what the Upbit team has said is ever true or just a smokescreen to hide their true intentions.
Well, I guess only time will tell. What's certain is, if a trader/user do hold their funds on these centralized exchanges, they're bound to lose them.

Update: The current address has now 0 balance while there are new transfers made few hours ago to different addresses. The 1st address has the 61,004 ETH, the 2nd address has 59,176 ETH, 3rd address has 61,001 ETH, 4th address has 49,900 and the last address I've seen has 9 ETH.

1st address: 0xEeD2BB3aA8eDbB357756432dA0223B8f3226887F

2nd address: 0xB3A9B79F4D5Dc2cdcdc00dA22869502CBF65A0a5

3rd address: 0xf52bAEB41abf6a9001F42246D5a3a9e2677Bc8f5

4th address: 0x3408EdCa2d47DDaa783A3563D991b8ddebCD973b

That's a total of 231,000 + ETH, I don't know where the other balance now.

How many decentralized exchanges had enough token that cut across all blockchain platform like stellar, erc20, BEP, NEO and have bitcoin on it. I wonder if there is any exchange that does that at all. So your advice may not be acceptable ATM. The denial of KYC was an advantage also for DEX but the government is reacting to it and DEX are getting unpopular. Forkdelta had its challenge if you can check

i dont think so, of course its just for money , since we know exactly they just hack the hot wallet.

i am talking about value actually  ;D

did mixer service will ignoring a client problem like that ?
i mean , if the hacker address has been tracked and they want using a mixer service , are the service will pretend to didn't know about it ?

Upbit will completely replace all upbit user losses. Large upbit-class Exchange only 320k ETh may still be very small, but there are positive things that will get the upbit security will be updated again and close the bugs that are attacked by hackers. Hopefully this isn't just a drama made for the benefit of a handful of people.

If that is what happen, and Upbit can guarantee if user's money wouldn't affected with it, Upbit maybe already change big exchange for now. Usually new market closed down after get hacked like this. But if keep survived, they must be very good exchange.

It's not small amount and I don't know on how upbit will counteract with that loss if they really cover up the loses of their users but if they will repay the users then maybe it's a good sign that they are good exchange and hopefully they will strengthen up there security so that they will not  encounter this hacking issue again. And one thing I am worried right now if this event can create an impact for this current market condition.

Upbit can get over it, I can see sometimes they have a huge volume so for sure they have some contingency funds for business continuity.
It's really hard to trust your money in exchange, this hacking incident is not know to crypto, even Binance was hack, so business owners should see this kind of big risk.

People around the world where internet is made available have already heard about cryptocurrency but what they are mostly scared of is the volatility in nature of crypto and security level.
With that been said, Upbit have promised that their users funds is saved and the market is not affected despite is already weekend.
This is a good one and I guess others crypto exchange learned the saving of users fund from binance  ;D

Security within the blockchain space is something that shouldn't be taken likely.  Upbit is a top volume exchange. Recently,  breaches on these perceived secure exchanges are becoming a real cause for concern, even Binance wasn't exempt. Sadly,  it can only get worse as more people enter into the space and the values of these crypts increase.

Hackers can not be prevented so this happens in small and large exchanges of course in any security there must be a weakness there we must realize and do not believe it fully, although Upbit exchange for it will still be vulnerable too.

Upbit's Operator Launches Custody Service with Ledger

DXM, a financial services subsidiary of South Korean fintech firm Dunamu, has worked with crypto cybersecurity firm Ledger to launch an institutional crypto asset custody service.

https://cointelegraph.com/news/crypto-exchange-upbits-operator-launches-custody-service-with-ledger

If indeed this situation can certainly happen maybe there should be a blockchain system that can make the stolen assets back to where they should be, not just locked and then stored for a long time in the wallet. Because if this continues, crypto assets can collapse. In the future i hope Blockchain should be really flexible to certain situations

maybe in the future there will be technology like that but for now it seems like there hasn't been anyone developing it, if there is such technology I think digital assets will be safe

It's quite unfortunate reading through this post. I'm indeed pained in my heart that an exchange lost such a huge sum in one day. I still believe that something is wrong somewhere and the assistance of an insider was utilized to move such an outrageous sum out of the exchange.

Are you saying there is nothing exchanges can do to prevent hackers from having access to hack their exchange? and so users and investors have to deal with this constant hacking a possible loss of their funds? i don't want to believe there is nothing they can do, there should be a solution to protect this exchange from this kind of attack otherwise users will not feel secure to live money in exchange no matter how little it may seem, even though it is advisable not to keep money in exchange still one should be able to trade without fear.